Religious Corporation Can't Recover Rent-Stabilized Building

Landlord, a religious corporation, sued to evict rent-stabilized tenants so that it could renovate the entire building and relocate its Jewish school to accommodate 70 students. The court granted tenants' request to dismiss the case. Landlord argued that since its yeshiva was operated as a charitable, educational, and not-for-profit institution, it was entitled to recover the apartments under Rent Stabilization Code Section 2524.4. But landlord's amended Certificate of Incorporation didn't limit the institution solely to charitable and/or educational purposes; it instead expanded the corporation's purposes. Since the corporation's charitable or educational functions were merely incidental to its religious purposes, it didn't qualify as a charitable, educational, or not-for-profit institution that could remove apartments from rent stabilization.

Congregation Netzach Yisroel v. Santana: Index No. 93697/10, NYLJ No. 1202490153679 (Civ. Ct. Kings; 4/12/11; Heymann, J)